Supply Chain Optimization

How Technology Is Eliminating Deployment Volatility And High-Cost Freight

LevelLoad and AutoO2 eliminate deployment (e.g., from plant to customer-facing distribution centers) volatility using a combination of: Tendering early smooth freight volumes over time by pushing lower-priority deployment demand to a later day and ...

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Are You Targeting A Payload That Is Too Low?

I advocate weighing the trucks to see where payload targets should be set. Here is a sample of refrigerated trucks from major carriers in 2021. What does this tell you? In this sample, which was large enough to be valid, 69% of all trucks could ...

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Freight Rates On Their Way Down?

Freight Rates On Their Way Down?

The Cass freight index appears to show expenditures and Shipments tracking fairly closely. Case Freight index The same is not true for bulk ocean freight. The London-based Baltic Exchange index is a weighted average based on 11-20 international ship ...

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Avoid High-Cost Carriers: Why You Need Transportation Planning

Avoid High-Cost Carriers: Why You Need Transportation Planning

Transportation Planning provides an incredible competitive edge. To quote a VP at a Fortune 50 consumer goods manufacturer: “We deploy, at a premium cost, a product that may not be needed, from sites that may struggle to ship it, to sites that may ...

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Obvious Yes— But It Still Hurts

American Transportation Research reports trucking operating costs = $1.855 per mile, a 12.7% year-over-year increase only slightly offset by a 14.8% decrease in deadhead mileage Trucking companies hired about 73,000 new workers in the 12 months ...

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Kimberly-Clark: Finalist For The CSCMP Innovation Award!

Kimberly-Clark: Finalist For The CSCMP Innovation Award!

Many major shippers suffer high-cost spot freight. And Kimberly-Clark did something about it: Project EARL (Early Tendering and Leveling). AutoO₂ and our sister company’s LevelLoad are the underlying technologies driving the savings. Call Tom Moore ...

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Predictions On Container Rates = Guesses

The contradiction is: Maersk’s CEO sees inflation pushing container rates up faster than 25% to 30%. This is aided by port and rail congestion Spot rates for containers are sometimes not below contract rates. The average rate per 40-foot container ...

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Controversy In Warehousing + Fewer Refineries = Higher Diesel

June 1, 2022 Expect controversy and some great tips from veterans Jeff Potts and yours truly. 15-minute webinar on June 9th. 1 PM CST Registration: https://new.elasticwebcast.com/user/registration/theme_04/index.php?videocast=NDY0. Diesel prices are ...

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The Fallacy of Transportation Contracts

The Fallacy of Transportation Contracts

Most contracts read like this: “We’ll give the carrier x lots per year (maybe), and the carrier will accept some of them if they feel like it.” Sounds like a great basis for a partnership. So, what is happening: Ocean carriers are refusing contract ...

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